Panarchy is the term coined to describe hierarchical systems where control is not only top down, as typically considered, but also bottom up. A panarchy is composed of adaptive cycles, and an adaptive cycle describes the processes of development and decay in a system. Complex systems self‐organize into hierarchies because this structure limits the possible spread of destructive phenomena (e.g., forest fires, epidemics) that could result in catastrophic system failure. Thus, hierarchical organization enhances the resilience of complex systems.